NANO Nuclear Energy Inc. (NASDAQ:NNE) traded higher early Friday as investors reacted to legal and sector news.
• Nano Nuclear Energy shares are powering higher. Why are NNE shares rallying?
Market Momentum
Traders lifted nuclear shares after data center energy deals boosted investor confidence across the clean power sector.
Vistra Corp. (NYSE:VST) and Oklo Inc. (NASDAQ:OKLO) climbed after signing long-term supply agreements with Meta Platforms, Inc. (NASDAQ:META).
Those announcements sparked broader interest in companies tied to nuclear power and advanced energy technology.
Shares of Cameco Corporation (NYSE:CCJ) and NuScale Power Corporation (NYSE:SMR) also moved higher during premarket trading on Friday.
Investors often track the Global X Uranium ETF (NYSE:URA) and VanEck Nuclear Energy ETF (NYSE:NLR) for sector-wide signals.
Federal Court Ruling
A judge in the Southern District of New York dismissed all claims in a class action filed against NANO Nuclear.
The lawsuit accused company executives of misleading investors about leadership credentials and reactor development plans. The court rejected every allegation and removed all defendants from the case.
The ruling also followed the dismissal of a shareholder derivative suit last year.
NANO Nuclear said the plaintiff may attempt to submit a revised complaint. The company said it remains confident in its legal position and plans to contest any renewed filing.
Company Strategy
NANO Nuclear develops micro modular nuclear reactors for power generation and clean energy systems.
The firm focuses on next-generation nuclear designs designed for small-scale industrial and data center power applications.
Its lead product includes the KRONOS MMR Energy System.
Leadership Comment
Jay Yu, founder and chairman of NANO Nuclear, said the ruling validates the company's direction.
"I am proud of NANO Nuclear’s core values and of the team’s commitment to leveraging their world-class expertise to advance micro modular reactor technologies for the North American market and eventually the world," Yu said.
"We remain laser focused on executing our strategy and delivering on the commitments we have made to our stakeholders," he added.
Management said employees remain focused on advancing reactor development and building long-term shareholder value.
The company credited Ellenoff Grossman & Schole for securing the legal victory.
NANO Nuclear said it expects the ruling to remove uncertainty and allow management to concentrate on commercial milestones.
NNE Price Action: Nano Nuclear shares are trading higher by 4.08% to $34.40 at the time of publication on Friday.
Photo: Piotr Swat via Shutterstock
